Electricals giant Dixons Carphone has batted away fears of a consumer spending slowdown as it said high street conditions were "holding up" following a 10% leap in annual profits.

The group reported underlying pre-tax profits of £501 million for the year to April 29, up from £457 million the previous year.

Like-for-like sales rose 4% in the UK and Ireland, although Dixons said around 3% of this rise was thanks to sales transferred from closed shops as part of a store overhaul.

Finance boss Humphrey Singer said the group was "alive to how the consumer is behaving", but it had seen "no changes yet".

Chief executive Seb James said: "While the UK consumer environment seems to be holding up for us, there will undoubtedly continue to be changes in the way people buy all of the products that we sell from phones to washing machines.